The average number of new prospective homebuyers registering with estate agents rose from 100 in October to 108 in November, a two-year high, data from a trade body showed.
According to the Propertymark Housing Insight Report for November, despite this, there was a slight fall in viewing numbers and the flow of new housing supply.
The average number of viewings per available property dropped to 2.1, marginally lower than 2.2 in October. At the same time, each estate agent branch saw an average of 11.3 homes placed for sale, compared to 13 the month before.
Stock levels also declined slightly month-on-month from 49 to 44 per branch, while there was also a fall in market appraisals from 27 to 20.
Propertymark’s data suggested there was also a fall in the average number of sales agreed per branch, declining from around 11 to nine. However, this was the highest level of agreed sales for the month of November in three years.
Further, the share of properties achieving asking price almost doubled from 6% in October to 11% in November, while the proportion of homes selling for more or less than the asking price stayed fairly stable.
How to support young landlords
Sponsored by BM Solutions
The time to exchange continued to lengthen, coming to an average of 17 weeks or more from offer acceptance to exchange.
Nathan Emerson, CEO of Propertymark, said: “The next few months are likely to prove busy for the sales market, with stock coming to the market and consumers showing they are keen to stay ahead of stamp duty threshold changes due in England and Northern Ireland in April 2025. Across the last 12 months, we have witnessed the economy stabilise and a much greater degree of confidence and [affordability] return. There are still challenges ahead and much will depend on inflation remaining within targeted boundaries and the Bank of England having the confidence to potentially lower the base rate further when conditions permit.
“The entire housing sector is about to embark on some of the biggest changes seen in over 30 years, with new planning reform for England and Wales working its way through Parliament, which will pave the way for the UK government to start delivering their ambition of over 1.5 million new homes before 2029.”
Small fall in tenant demand as available stock decreases
Propertymark’s data found the average number of new prospective tenants registered per member branch fell from 93 to 92 month-on-month.
This was alongside a marginal fall in the average number of new property instructions.
However, rental stock levels were at a two-year high of 13 in November.
Rental demand continued to outpace supply, with an average of seven people applying for each available property. This was slightly eased from the average of nine people per rental property in October.
The average number of tenancies agreed in November stayed flat at nine.
Some 59% of Propertymark’s members reported that rents had also remained static in November, while 17% said they had seen falls and 24% reported that rents had increased.
Emerson added: “Similarly significant legislation that will impact the lettings market across England is also moving at pace through Westminster in the form of the Righters’ Rights Bill. This will fundamentally change key rights for both renters and landlords and it remains imperative that this new bill strikes a workable and fair balance for all involved.
“The lettings market remains extremely challenging, with long-running issues regarding an intense lack of rental stock across the UK. Throughout the last 20 years, we have seen renting more than double in popularity, and there needs [to be] sensible support that encourages long-term investment within the sector.”
